CPP sees first half sales surge

The York-based group, which floated on the London Stock Exchange earlier this year, said its expansion in new and existing markets is likely to result in its full-year margin being below the first half but ahead of the previous year.

CPP said its annual renewal rate - the percentage of customers renewing its cover - is 76.2 per cent, broadly in line with August. It said this reflects a flat UK renewal rate, reduced rates in Southern Europe and renewals base in its newer territories.

Chief executive Eric Woolley said: "Through the dedicated efforts of our people together with the strength of our existing product and service offering CPP has continued to grow and develop its businesses.

"Successful UK initiatives such as packaged accounts have helped us as we continue to expand our existing product and channel offerings. Internationally we are making encouraging progress, particularly in our recently launched markets of Turkey, India, Mexico and China.

"Whilst recognising the global economic and financial sector uncertainties our outlook for the full year remains unchanged, and we continue to look forward to delivering another year of growth. CPP has a proven growth strategy in the UK and internationally and an encouraging medium term pipeline of opportunities as existing markets continue to develop and new markets open up.

"CPP is a fast growing business with the right skills to develop our business partner relationships and, with our strong cash generation and robust balance sheet, we are well placed to continue to execute our stated strategy."

In the UK CPP has seen good revenue growth in packaged accounts, particularly its work with Santander and RBS. here, it is also developing its Phonesafe mobile phone insurance business, increasing policy volumes.

CPP said Turkey is close to hitting profitability, the first time since launch in 2007, and continues to grow its renewing policy base.

It added revenues in southern Europe continue to be stable despite tough economic conditions.

Its north American business continues to deliver year-on-year revenue growth, as does its Asia Pacific region, said CPP.